Minister of Finance and the Public Service, Hon. Audley Shaw, says lending rates by Jamaican banks on new loans as at December 2016 were trending down pointing out that interest rates on new loans for large projects are now at 10.23 per cent, compared with 13 per cent in December 2015.

“Interest rates on new loans to medium-size projects have fallen to 11.16 per cent, down from 12.8 per cent in December 2015. Even for small projects, loan rates have declined to 13.55 per cent, down from nearly 14 per cent a year before,” Mr. Shaw added.

He argued that these reductions in lending rates augur well for continued economic growth, as businesses can now access well-needed capital at affordable rates.

Mr. Shaw closing the 2017/18 Budget Debate in Jamaica’s House of Representatives on March 22, said while there are opportunities for further reductions, he is confident that the Government’s continued focus on lowering interest rates and the continued focus on public-private partnerships will see further reductions and expansion of credit to support the economic-growth agenda. BM